batch production

a method of organizing PRODUCTION whereby a number of identical components or products are passed through one or more production operations or processes as a ‘batch’. Batch-production systems are used to make components or products in comparatively small quantities using ‘general purpose’ machines on an intermittent basis. See BATCH SIZE, PROCESS-FOCUSED LAYOUT, PRODUCTION SCHEDULING, SETUP TIME, SETUP COSTS.

batch production

the manufacture of a product in small quantities using labour-intensive methods of production (see LABOUR-INTENSIVE FIRM/INDUSTRY).

Batch production is typically employed in industries where the product supplied is nonstandardized, with consumers demanding a wide variety of product-choice. Batch production industries are usually characterized by low levels of SELLER CONCENTRATION, easy entry conditions and high unit costs of supply. See PRODUCTION, MASS PRODUCTION, CONDITION OF ENTRY, FLEXIBLE MANUFACTURING SYSTEM.

Collins Dictionary of Economics, 4th ed. © C. Pass, B. Lowes, L. Davies 2005

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